Royal Caribbean Increases Private Offering to $2 Billion

Royal Caribbean Cruises has announced the pricing of its private offering of $2 billion in senior unsecured notes with a 6.000% interest rate, due in 2033. The total principal amount of the notes has been increased from the initially planned $1.5 billion.

These notes are scheduled to mature on February 1, 2033, and are expected to be issued around August 12, 2024, pending customary closing conditions, according to the company's statement.

Royal Caribbean plans to use the proceeds from this offering, along with funds from its revolving credit facilities, to redeem all of its outstanding 9.250% Senior Notes due 2029 and 8.250% Senior Secured Notes due 2029. These notes represent the company's remaining secured debt, and the proceeds will also cover fees and expenses associated with the redemption process.